Bank of the Philippine Islands, the country’s fourth-largest lender, said Monday net income in 2017 rose 1.7 percent to P22.42 billion from a year ago.
BPI said in a statement that excluding one-off gains from the sale of securities in 2016, net income was up 31.3 percent.
The bank said net income in the fourth quarter jumped 14.9 percent to P5.37 billion from P4.67 billion a year earlier.
“We come out of 2017 stronger than ever,” BPI president and chief executive Cezar Consing said in a statement.
“While the bank has grown significantly in the past several years, we intend to continue to invest in people, technology and branches to support and benefit from a surging Philippine economy,” he said.
Total revenues increased 6.7 percent to P71.02 billion, as net interest income climbed 13.4 percent to P48.04 billion as a result of asset growth and improvement in net interest margin.
Non-interest income dipped 4.9 percent to P22.98 billion, in the absence of one-off trading gains in the previous year.
Cost-to-income ratio stood at 54.3 percent, slightly higher than 52.5 percent a year ago, helped by digitalization initiatives. Julito G. Rada
Operating expenses went up 10.3 percent to P38.53 billion, as spending on technology, operations and marketing increased to sustain growth initiatives.
Total loans hit P1.2 trillion, reflecting a robust growth, driven by corporate loans. Asset quality improved with the gross 90-day non-performing loans ratio declining to 1.29 percent from 1.46 percent.
Total deposits rose 9.1 percent to P1.56 trillion, with the current and savings account ratio at 71.2 percent.
Total assets expanded 10.3 percent to P1.90 trillion, while total capital grew 9.4 percent to P180.69 billion, net of P7.09 billion in cash dividends paid.
Capital adequacy ratio stood at 12.74 percent and common equity tier 1 ratio at 11.84 percent, both lower by 0.26 percentage points.
